“We fear if granted bail he is more likely to be able to use that reputation to interfere with the course of justice than if he were kept in custody.”

Mr Sayers always denied conspiracy to rape and three allegations of rape at an address in Byker, Newcastle.

Sharon Loftus, 45, of Rochdale Street, Wallsend, and Ann-Marie Taylor, 42, of Greencroft Avenue, Daisy Hill, were also accused of conspiracy to rape but the case against them has also been dropped.

CPS reviewing lawyer Helen Gaunt, from Yorkshire and Humberside’s complex casework unit, said: “As part of our ongoing review process, I have carefully considered all the evidence I have received from the police, and consulted at length with leading counsel.

“I have applied the code for Crown Prosecutors and the CPS policy on prosecuting offences of rape.

“I have considered all the evidence in this case in accordance with the code for Crown Prosecutors and I am no longer satisfied that there is sufficient evidence for a realistic prospect of conviction against the defendants. On that basis I have advised discontinuance of the proceedings.”

A Northumbria Police spokesman said: “We actively encourage people to report incidents of rape to either us or a third party.

“We treat every report of rape extremely seriously and have a duty to investigate thoroughly every report we receive.

“An extensive investigation has taken place and a file of evidence was presented to the CPS. The CPS made a decision to charge but has subsequently made a decision not to proceed with the prosecution.”

In August police stormed Sayers’ Euromarket cash and carry business at around 8.30am on Wednesday, after the allegations were made.

A forensic team scoured the building and seized his phones. Mr Sayers was arrested at the scene.